Telkom has announced an agreement with the Competition Commission to change the way it offers copper and fibre wholesale broadband products.
“Telkom is pleased that following concerns identified during the data services market inquiry, we were able to reach this settlement with the Commission,” said Telkom CEO Sipho Maseko.
This new product removes concerns over the current IP Connect product and will be offered by Telkom’s wholesale division, Openserve, to introduce transparency and remove perceived competition problems associated with wholesale broadband connectivity.
During discussions with the Commission, Telkom agreed that the new wholesale product from Openserve would reduce wholesale charges to ISPs.
This will remove the pricing concerns raised by the Competition Commission in respect of IP Connect, Telkom said.
“The new Openserve offering, which is structured as an aggregated end-to-end solution, will allow ISPs to manage their costs and compare the Openserve fixed-broadband prices with the prices of other wholesale broadband providers more easily, thus enhancing competition in the fixed-broadband connectivity market,” Telkom said.
Mobile pricing and zero-rated websites
Telkom said that on the mobile front, it has always been committed to providing cost-effective mobile products to its customers.
“There was therefore no need for the Commission to recommend that Telkom lower its prices when it concluded its Data Services Market Inquiry,” it said.
“In continually striving to ensure that citizens get the best value when purchasing data services, Telkom has agreed to improve transparency of pricing in line with the inquiry recommendations.”
Telkom will also notify subscribers of this rate via SMS when data bundles are successfully purchased.
Customers on the Telkom network will be able to access zero-rated government and education websites, including more than 60 universities and FET institutions, it added.
It is also offering free access to other knowledge enhancing sites such as Wikipedia, Everything Science, Everything Maths, and DBE Cloud.